Feds, Yukon announce $16M more for affordable housing

The federal and Yukon governments announced $16 million in new funding for affordable housing in Yukon onThursday, a monthafter Yukon cancelled a $13 million program to create subsidized rental units in Whitehorse.

The decision to cancel the program, made at the request of Yukon landlords and realtors, angered other business people who had spent time and money on proposals to buildaffordable housing.

Housing minister Brad Cathers says the decisionwas justified because vacancy rates have gone up in the city.

"You will see very clearly the market starting to correct itself," he said. "Landlords at a seven percent vacancy rate will have to start making decisions to lower the rental prices."

Federal cabinet ministerCandice Bergen, in Whitehorsefor the announcement, says she's not concerned about the Yukon's government record on housing.

"We trust that the provinces and territories are consulting and are making their decisions based on their priorities," she said, "and I think there's a pretty extensive list of projects and affordable housing needs that have been met and have been addressed with that, so, we're satisfied."

The ministers say the money will be used for housing for seniors, people with disabilities and others in need.